Geoffrey Kendrick from Standard Chartered predicts Bitcoin could reach $200,000 by the end of 2025, with a potential 100% increase from its current valuation of approximately $90,000. He attributes this bullish sentiment to Bitcoin’s role as a hedge against financial system risks, especially amidst economic uncertainties. Kendrick highlights the correlation with the US Treasury term premium, optimistic about future Bitcoin growth amidst ongoing Fed independence concerns.
Geoffrey Kendrick from Standard Chartered has predicted that Bitcoin’s value could soar to $200,000 by the end of 2025, with a potential 100% increase from its current price of around $90,000. He envisions even greater growth, projecting Bitcoin could reach $500,000 by 2028. This optimistic outlook stems from Bitcoin’s unique position as a hedge against risks in the financial system, especially amid economic uncertainties.
Kendrick emphasises that Bitcoin serves primarily as a safeguard against financial instability. Its decentralized nature provides a reliable alternative during turbulent economic periods. For instance, following the collapse of Silicon Valley Bank in March 2023, Bitcoin demonstrated resilience, highlighting its role as a protective asset against potential government policy risks, such as those stemming from US Treasury actions or Federal Reserve decisions.
A crucial metric Kendrick observes is the US Treasury term premium, which hit a 12-year high recently. The term premium reflects the additional risks investors face when holding long-term US Treasury bonds. Kendrick has noted a correlation between Bitcoin’s performance and the term premium since early 2024. Despite this, Bitcoin has lagged behind the rising term premium, a misalignment attributed to earlier concerns over tariffs affecting technology stocks, which Bitcoin often mirrors.
Despite the current lag, Kendrick remains optimistic about Bitcoin’s future growth, especially amid ongoing concerns regarding the Federal Reserve’s independence. Potential leadership changes at the Fed, including the possible removal of Jerome Powell, could further fuel Bitcoin’s appreciation. He suggests that as economic uncertainties evolve, Bitcoin is poised to achieve significant new highs.
Kendrick’s bullish stance is not new; he has previously forecasted substantial growth for other cryptocurrencies, including XRP potentially rising to $12.50 by 2028 and AVAX hitting $250 by 2029. In conclusion, while Bitcoin’s correlation with tech stocks occasionally falters, its increasing status as a safe haven during financial instability cements Kendrick’s belief in its future growth potential.
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